21 January 2011

The U.S. Department of Housing and Urban Development has proposed new regulations to ensure that its core housing programs are open to all eligible persons, regardless of sexual orientation or gender identity.

The department unveiled a series of proposed rule changes Thursday that would prohibit lenders from using sexual orientation or gender identity as a way of determining a borrower's eligibility. In a nod to same-sex marriages and same-sex parents, the rule change would state that eligible families have the opportunity to participate in HUD-based programs regardless of marital status or sexual orientation.

The new rules, if adopted, also would prohibit owners and operators of HUD-funded housing from asking applicants or occupants of the housing about sexual orientation or gender identity. ...

"This is a fundamental issue of fairness," HUD Secretary Shaun Donovan said Thursday.

The proposed rules must undergo a 60-day public comment period before formal implemented. If approved, they would joint a growing list of policy and procedural changes made by federal agencies that don't require congressional approval, including gender-neutral passport application forms, changes to how the U.S. Census Bureau counts same-sex relationships and the extension of fringe benefits to the same-sex partners of gay and lesbian federal workers.

In October 2009, you may recall that HUD Secretary Shaun Donovan announced a series of initiatives to ensure LGBTs are not denied access to federally subsidized housing based on their sexual orientation or gender identity.

Last June, for the first time in history, HUD announced that grant applicants seeking HUD funding must comply with state and local anti-discrimination laws that protect LGBT individuals.

The proposals include: Clarifying the term "family" to includes LGBT couples in public housing and voucher programs; requiring grantees and contractors to comply with local and state non-discrimination laws that cover sexual orientation or gender identity; and FHA-insured mortgage loans must are not denied based on sexual orientation or gender identity.

HUD will commission the first-ever nationwide study to determine the extent of discrimination based on sexual orientation in housing sales and rental programs. The extent of such discrimination is unknown, but HUD Secretary Shaun Donovan said it undoubtedly exists. "The evidence is clear that some are denied the opportunity to make housing choices in our nation based on who they are and that must end," said Donovan.

State and local studies have shown significant bias against LGBT renters and mortgage applicants. A study from Michigan's Fair Housing Centers found nearly 30 percent of same-sex couples were treated differently when trying to buy or rent a home. Transgender renters face even more bias, says Mara Keisling at the e National Center for Transgender Equality.